August 20, 2018 / 11:48 PM / 5 months ago

Caterpillar defeats age bias claims over unemployment benefits plan

Caterpillar Inc on Monday defeated an appeal by 48 retirement-eligible employees who said its 2012 agreement to end a plan to pay unemployment benefits to laid-off workers at a plant in Joliet, Illinois violated a federal law against age discrimination in the workplace.

The 7th U.S. Circuit Court of Appeals in Chicago said the agreement had a disparate impact on older workers, but that Caterpillar acted reasonably because the agreement added to labor peace, and saved money by ending costly unemployment benefits, incentivizing early retirement and reducing costs.

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